Is it just me, or do there seem to be an awful lot of people out there who are mad at the world? I encounter such people, typically, where they work and I shop. I don't feel that they are mad at me, or at anyone or anything in particular. They just ooze a sense of, I'd rather be anywhere but here. And the places where they work, I have noticed, are not independent, small businesses, but stores that are part of a large corporation. They really don't care what you buy--or if you buy anything at all. They have no skin in the game. Maybe they are just biding their time until Prince Charming--or Elon Musk--comes along. I don't sense that profound dissatisfaction when I walk into a small business, where it is likely that I'll encounter the owner--the person who does have skin in the game. And it is that ownership that makes all the difference.
Economists describe the current American economy as being "K-shaped." The upward slope of the K represents those people who are doing well and thriving. The downward slope stands for those people whose economic lives are stagnating or falling behind. To invoke another bit of imagery, the rising tide is not lifting all the boats--in fact, it is lifting only a select few. What determines someone's place on the K? Ownership. And there are several forms of ownership--owning a business, having home equity or an investment portfolio. To put it another way, it's the difference between having a positive net worth or zero (or negative) net worth. That number does not have to be a million dollars--it just needs to be something. I have often said that the difference between having, say, a few thousand to $100,000 in net worth is actually greater than having millions in net worth. Of course, that distinction only goes so far. A lesser amount will not get you a vacation home or a yacht, but it does bestow finanical security and options for growing that net worth.
When I go to a fast food outlet, I understand that the people taking orders and flipping burgers are probably making minimum wage. But there is a hopeful assumption that because this is likely a first job for many of them, they will, with age and experience, move up the ladder. This, of course, does not necessarily happen. My advice to any young person just starting out: Set your sights on becoming an owner, save money and invest something. I don't think this is taught in schools. Why? Because ownership is a decidedly capitalist philosophy, and that is not the mindset of many educators.
In a sea of unhappy people working at the bottom levels of large corporations, there is one company that stands out as an exception: Costco (COST, $982). Costco is known for treating its employees with respect and paying wages higher than what is the industry norm. The average hourly wage at Costco is about $26 to $30. The company also offers exceptional benefits and promotes mostly from within. This is all part of the company's long-term focus, while so many competitors are obsessed with the short term and the next quarterly earnings. Is Costco's corporate culture at odds with the interests of shareholders? I'll let the numbers speak for thermselves. Since January 2016, COST stock is up some 351%; $10,000 invested in the stock at that time would be worth about $45,000 today. That is more than double the market's (as measured by the S&P 500) return.
My wife and I pay the annual membership fee to shop at Costco, and that is the foundation of the company's business model. The nearest Costco is about a 20 minute drive from or house, so we go there maybe once or twice a month. But when we do, our shopping cart rings up about an average of $500+ at checkout. People unfamiliar with Costco may not realize that they have excellent steaks and other meats. If you have good freezer space (and a home generator, which I strongly recommend), you can really stock up. Some years ago, my wife and I took our two-year old grandson to shop with us, and I took a picture and sent it to a friend of mine. He replied: "They sell toddlers at Costco now?" I replied: "Yes, but you have to buy two dozen of them."
Life is short. Get Busy!
Jim
Disclosure/Disclaimer: My family members and/or I own shares of COST. Individual stocks are mentioned here for the sole purpose of illustrating investment concepts, and nothing stated here should be construed as the advice to buy or sell any security.
Copyright 2026 James Brinkley Taylor, Jr.
Email me with any questions, comments, or feedback:
jbrinkleytaylor@gmail.com
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